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Private limited company

A Private Limited Company is a type of Company that offers limited liability for its shareholders but that places certain restrictions on its ownership. These restrictions are defined in the company’s bylaws or regulations and are meant to prevent any hostile takeover attempt. The major ownership restrictions include:

Shareholders cannot sell or transfer their shares without offering them first to other shareholders for purchase.

Shareholders cannot offer their shares to the general public over a stock exchange, and

The number of shareholders cannot exceed a fixed figure of 200.

Minimum Requirements:

  • Minimum 2 shareholders are required.
  • Minimum 2 directors are required. The directors and shareholders can be the same persons.
  • Minimum Authorised and Paid up Share Capital shall be Rs. 1,00,000/- (Rupees One Lacs Only)
  • DIN (Director Identification Number) for all the directors
  • DSC (Digital Signature Certificate) for one of the director.

Documents Required:

  • Passport size photograph of all the directors.
  • Self-attested copy of PAN card of all the shareholders.
  • Self-attested copy of address proof of all the shareholders.
  • DIN affidavit of all the directors.
  • Affidavit of non-acceptance of all the directors.
  • Address proof of registered office (electricity/telephone bill copy)